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Monday, Oct 7
Alcatel-Lucent to reportedly cut workforce by 10K
- French papers Les Echos and Le Figaro report Alcatel (ALU +0.4%) plans to lower its headcount by 10K - 15K jobs will be cut, and 5K created - as part of its efforts (disclosed in June) to cut costs by €1B ($1.35B) by 2015.
- Le Figaro adds 4.1K of the job cuts will be in EMEA, 3.8K in Asia, and 2.1K in the Americas. Alcatel currently employs 72K workers globally.
- Look for a decent portion of the cuts to hit Alcatel's Optics (-7% Y/Y in Q2), Focused Businesses (serves non-telecom clients, -18%), and Managed Services (-15%) units. Many of the new jobs could go into the IP (switches/routers, +21%) and Platforms (telecom software, +23%) divisions.